Charity Registration No. 1044906 Company Reglstratlon No. 02992437 (England and Wales) ORTHOPAEDIC INSTITUTE LTD ANNUAL REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024
ORTHOPAEDIC INSTITUTE LTD LEGAL AND ADMINISTRATIVE INFORMATION Trust8OS Mr E R Evans, Chairman Dr A Askari Prof P Cool Mrs V Edwards Mr R Freeman Prof W Masry Mrs L Osselton MrJSBratt Prof S Roberts DrGER Thomas Charlty number 1044906 Company number 02992437 Reglstèred offlce Arthrilis Research Cenlre RJAH Hospital Oswestry Shropshife SY10 7AG Auditor Wenn Townsend 30 St Giles Oxford OX1 3LE Solicltors Hatchers Solicitors LLP Thornes Hall Castle Street Shrewsbury Shropshire SY1 1DA Investment advisors Barclays Wealth Windsor Court 2nd Floor 1-3 Windsor Place Cardiff CF10 3BX
ORTHOPAEDIC INSTITUTE LTD CONTENTS Pagg Trustees report Statement of Trustees responsibilities Independent auditor's report Statement of financial activities 10-11 Balance sheet Notes to the financial statements 13-30
ORTHOPAEDIC INSTITUTE LTD TRUSTEES REPORT (INCLUDING DIRECTORS. REPORT) FOR THE YEAR ENDED 31 MARCH 2024 The Trustees present their report and the audited financial ststements of the charity for the year ended 31 March 2024. The truste8s have adopted Ihe provisions of the Stalement of Recommended Praclice {SORP)'Accounting and Reporting by Charities. in preparing the annual report and financial statements of the charity. Objectlves and actlvlties The objects ofthe Charity are to promote by all available means the study ofdisease and particularly disorders of the locomotor system and allied subjects, and generally to improve the standard of knowledge of the means of prevention, diagnosis and methods of treatment and cure of such disorders, and to initiate, encourage, support and carry out research and investigation into the causes of such disorders and Ihe possibilities of prevention and alleviation or cure. The Charity's main objectives for the year continue to be funding and facilitating medical research and teaching at the RJAH Orthopaedic Hospital, Oswestry, Shropshire. The strategles to achieve the objectives ofthe Charity are.. To encourage researchers to submit projects to the Institute forfunding, coupled with persuading smaller research departments to be more forthcoming in this respect. To continue the organisation and running of training courses, together with a variety of spècialised leaching and training courses open lo doctors in general and medical staff throughout this country and overseas. To continue with our support for the very successful Research Days where patients, donors. schools and members of the publi¢ are invited to come along to view the research work that is being carried out and to ensure the ongoing trend of attracting high profile Professors, Consultants and Clinicians to attend this annualevent. These two days enhan the profile of the Hospital and improves its national and international reputation. To promote in the local press and on our updated website our achievements more comprehensively. To endeavour to promote the Institute with the legal profession, to encourage future legacies and donations. Fundraislng standards Information The Charity raises funds from Ihe public through events and marketing. The Charity employs a fundraiser who manages the fundraising campaigns. Any significanl fundraising activities are approved by the Trustees and the Trustees monitor the performance of events through attendance. To the date of this report, no complaints have been received in connection with the Charily's fundraising activities. The Charity does not solicit or place undue pressure on the general public for donations. Any marketing is via emails to a consented donor list, wilhin the hospital staff network or through the website, social media and local press. Publlc benefit statement The Trustees have paid due regard to the Charily Commission guidance on public benefit and consider this when deciding which activities the Charity should undertake. All of the Charity's activities focus on medical research and teaching and are undertaken to further our charitable PLtrposes for the public benefit.
ORTHOPAEDIC INSTITUTE LTD TRUSTEES REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Achievements and performance Each yearthe Charity produces an exlensive annual report, which fully explains the projects receiving funding and the progress in the year. Copies of this report are available from the registered office. Brief descriptions of the major funds supporting these projects are recorded in the notes to the aountS. Circulating our Annual Report enables us lo keep in close contact with our funders. We seek medical research funding for various innovative projects over a 213 year lime span to provide continuity to our research slaff. The Trustees wish to thank all of its donors for the support over the last twelve months to enable the research projects to continue and new projects to begin. During the year the Orthopaedic Instilute provided funding for nine new research projects with over thirty projects ongoing at the year end. Local profile also enables the fundraiser to liaise closely with local charitable organisations. This initiative continues to bring in funds for the work of the Charity. Patients are very supportive of the Hospital and the Institute. During the year w8 were able to hold six courses, generats'ng income of £54,463 (2023 - £43,315). The COLFrses held were the Basic Science course, Oswestry Gait course, Foot and Ankle course, Sports Knee meetlng, GP Osteoporosis study day and the ST3 Interview course. The fixed asset investments held by the Charity at the 31 March 2024 had a markel value of £1,583,877 {2023 - £1,485,579). The income stream from the investments for the year including l o a n n ote a n d bank interest was £54,570 {2023- £49,489). TheTrustees are satisfied with the management ofthe investment portfolio against the objectives detailed within the financial review. Flnanclal revlew The Charity has generated a net surplus this year of £98,049 (2023: deficit £256,325), which includes an unrealised gain on the investment portfolio of £102.201 12023.. loss of £109,737). Further details of income and fund balances are presented elsewhere within this report. It is the policy of the Charity that unrestricted funds which have not been designated for a specific use should be maintained al a level equivalent to between three and Six month's expenditure. The Trustees consider that reserves at this level wi15 ensure that. in the event of a significant drop in funding, they will be able to continue the Charity's current activities while consideration is given to ways in which additional fund5 may be raised. Given the long-lerm nature of the research projects undertaken by the Charily the Trustees designate unreslricled funds to individual projects soon after they are received. This allows for long term planning and security for the research staff. As a result of this policy significant balances are retained as designated for particular research projects. The Charity has the policy of relaining a low level of unrestricted undesignaled funds to meet administration costs and provide a small reserve for starting new projects or appeals. The Trustees have the policy that this balance should exceed £10,000 to cover approximately three months administration expenses. The unrestricted general fund fluctuates throughout the year as unrestricted income is received and held as such until it is allocated to specific projects. The Truslees policy is that the unrestricted general fund should not exceed £80,000 and Ihis is monitored at the quarterly committee meetings. At the year-end, unrestricted undesignated reserves excluding l os ses or gains on investments totalled £5, 54 8 12023 - £32,334}. The Charity's investmenl income covers the ongoing adminisliative costs. In addition the charity holds unrestricted unallocated funds within the research fund to enable new projects to be initially supported when approved by the research panel before addits'onal funding can be sought.
ORTHOPAEDIC INSTITUTE LTD TRUSTEES REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 The main source of the Charity's income is generated from charities, grant making bodies, individual donors and surpluses on courses. The reputation of the Hospital has enabled the Institute to forge long standing personal connections with the decision makers and this has enabled personal contact when support is sought. Funds are either received in response to applications made by the research teams for specific projects in which case the income is used lo support those projects or for income received where no specific application has been made the research teams apply for grants from these reserves. The investmenl objectives are.. The creation of a sufficient financial relurn to enable the Charity to carry out its purposes effectively andwithout interruption, and The maintenance and, if possible, enhancement ofthe investment funds whilst they are invested. To obtain a reasonable balance between capital growth and income so that the Charity can meet future aswell as current needs. To avoid investments that are unduly risky. The Trustees, policy is to invest in an appropriate mix of real assets, i.e. equities, fixed interest and monetary assets. Trustees recognise that the returns on equities. while expected to be greater over the longer-term than those of fixed interest and monetary assets, are likely to be more volatile. Investment in a mix of asset classes should nev8rthele5s provide the levels of relurn required and mitigate volatility for the Trust to achieve its objectives. The Trustees have delegated their investment powers lo an appointed investment manager. The investment manager is responsible for carrying out all day-to-day investment decisions including acquisition and realisalion of investments. The investment manager is required lo exercise the power to give effect to the principles as contained in this statement and, in particular, must have regard lo the need for diversifiGation and suilabilily of investments selecled. Due to changing investment practice, the investment manager is appointed on a discretionary basis. Whilst the Trustees are not involved in the day-lo-day operation of the investment portfolio and cannot directly influence attainment of a performance target, they will assess performance on an annual basis. Measurable targets have been developed for the investment manager consistent with the achievement of the objectives set out above and an acceptable level of risk with no holding in a single equity or pooled vehicle having a value that is more than 70h of the total equity portfolio. The Trustees do not wish to participate in any underwriting arrangement or hold direcl investmenls quoted on AIM or OFEX markets. The appointment of the investmenl manager will be reviewed from time lo time by the Trustees, based upon the results of their monitoring of performance. investment process and the manager's compliance with the requirements of the Trustee Act 2000 and guidance of the Charity Commissioners. The investment manager will meet the Trustees lor a designated body of trustees) at least once a year to review performance over the preceding period and to discuss and agree the strategy to be adopted. Although generally the interests of atrust's beneficiaries are best served by seeking to oblain a sound financial return from a suitably diverse portfolio of investments, the investment manager will have the regard tonol investing in those assets which could be delrimental to the objectives and aims of the Trust. The Trust does not have an ethical investment policy. The investment powers of the Trustees have been formally vested in the Charity's independent stockbrokers, Barclays Wealth.
ORTHOPAEDIC INSTITUTE LTD TRUSTEES REPORT (INCLUDING DIRECTORS, REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 The Trustees have conducted their own review of the major risks to which the Charity is exposed and systems have been established to miligate those risks. External risks to funding have led lo the engagement of a fundraiser to oversee appeals made by the Charity and report to the Trustees on fundraising progress each quarter. Internal risks are minimised by the implemenlation of procedures for authorisation of all transactions and projects and to ensure consistent quality of delivery for all operational aspects of the charitable company. These procedures are periodically reviewed to ensure that they still meet the needs ofthe Charily. Long term alms and objoctlves The Institute intends to continue to be supportive of the Trust 8oard at the Robert Jones and Agnes Hunt orthopaedic Hospital and to work alongside the Hospilal lo assist with funding of medicalresearch projects. We intend to GontinLte developing our fundraising base by approaching newly formed charities and seeking to acqiiire new connections. We will encourage researchers lo submit projects for funding. Liaison with local solicitors 15 Vltal to maintain Ihe receipt of legacies which assist considerably when funding research projects. We will continue to support teaching and training and running of courses for the medical profession, Courses are vital not only in attracting the delegales and generating income bul also to promote the Robert Jones and Agnes Hunt Orthopaedic Hospital and retain our standard as a Centre of Excellence with national and international reputation. We continue to look al how we can provide future training wth reduced delegate numbers and also to online course provision where possible. Our long term financial investments have been affected adversely by general economic factors affecting the worldwide stock markets during the year. Our investments are held trtheir longer term value as well as providing ongoing Income to support our charitable activities. We continue to monitor our investments performance and risk profile with our financial advisors. structure, governance and management The Charity is a company limited by guarantee and therefore has no share capital. Each member is liable, upon winding up, to an amount not exceeding £1. The Charity was incorporated on 21 sl November 1994 to take over and continue the administration of the pre existing Charity The Institute of Orthopaedics. The company was established under a Memorandum ofAssocialion, which established the objects and powers of the charitable company and is governed under its Articles ofAssociation. The Trustees, who are also the directors for the purpose of company law. and who served during the year ancl up to the date of this report were: Mr E R Evans Chairman Dr B AAshton (resigned 11 September 2024) Dr A Askari (appointed 12 June 2024} Prof P Cool (appointed 15 November 2023) Mrs V Edwards Mr R Freeman Prof W Masry Mrs L Osselton Mr R Lumby (resigned 17 January 2024) Mr J S Bratt Prof. S Roberts Dr G E R Thomas The Trustees retiring by rotalion are: Mr J S Bratt, Prof S Roberts and Dr G E R Thomas
ORTHOPAEDIC INSTITUTE LTD TRUSTEES REPORT (INCLUDING DIRECTORS. REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 As set out in the Articles ofAssociation the members of the Orthopaedic Institute Ltd nominate the Chair of the Trustees. Each year one third of the Trustees retire by rotation and may offer themselves for re- election, Vvhen a vacancy exists the new Trustee will be of similar standing lo the retiring Trustee. All members are circulated wilh invitations to nominate Trustees prior to the Annual General Meeting advising them of the retiring Trustees and requesting nominations for the Annual General Meeting. The paid administrators of the Charity have been delegated by the Trustees as being responsible for day to day management. The Charity collaborates very closely with the medical department at Keele University in carrying out many research projects. The Charity operates within the environs of the Robert Jones & Agnes Hunt Orthopaedic Hospital. The NHS Trust engages the staff undertaking research projects. teaching and administration. The Robert Jones & Agne5 Hunt Orthopaedic Hospital recharges their salary costs to the Charity_ Dlsclosuro of Informatlon to the auditors In so faras the trustees are aware: there is no relevant audit information ofwhich the charitable company's auditors are unaware., and the trustees have taken all steps that they ought to have taken to make themselves aware of any relevanl audit information and to establish Ihat the auditors are aware of that information. This report has been prepared having taken advantage of the small companies exemption in the Companies Act 2006. The Tr ort was approved by the Board of Trustees. Mr E R Evans Chairman & Trustee Oated..20 November 2024
ORTHOPAEDIC INSTITUTE LTD STATEMENT OF TRUSTEES RESPONSIBILITIES FOR THE YEAR ENDED 31 MARCH 2024 The Trustees (who are also the directors of Orthopaedic Institute Ltd for the purpose of company law), are responsible for preparing theTrustees' Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Praclice). Company Law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the stale of affairs of the Charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year. In preparing these financial statements. the Twslees are required to: select suitable accounting policies and then apply them consistently.. observe the methods and principles in the Charities SORP 2019 {FRS 102): make judgement5 and estimates that are reasonable and prudent: state whether applicable accounting standards, comprising FRS 102 have been followed, subject to any material departures disclosed and explained in the financial statements, and prepare the financial statements on the going concem basis unless it is inappropriate to presume that the Charity will continue in operation. The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy al any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
ORTHOPAEDIC INSTITUTE LTD INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE ORTHOPAEDIC INSTITUTE LTD FOR THE YEAR ENDED 31 MARCH 2024 Opinion We have audited the financial statements of Orthopaedic Institute Ltd (the 'charitable company.) for Ihe year ended 31 st March 2024 which comprise the Slalemenl of Financial Aclivilies. Ihe Balance Sheet, and notes lo the financial 5talements, including a summary of significant accounting policies. The financial reporting framework Ihal has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Slandard 102 The Financial Reporting Slandard appli¢8ble in Ihe UK and R8public of Ireland {United Kingdom Generally Accepted Accounting Practice). In our opinion Ihe financial slalemenls.. give a true and fair view of the stsle of the charitable company's affairs as at 31 sl March 2024, and of ils incoming resources and application of resources. including ils income and expenditure. for the year then ended., have been properly prepared in accordance with United Kingdom Generally Aepted Accounling Practice.. and have been prepared in accordance with the requiremenls of the Companies Acl 2006. Basls for opinion We conducted our audit in accordance with International Slandards on Audiling (UK) (ISAS (UK)) and applicable law. Our responsibilities under those standards are further described in Ihe Audilorfs responsibilities for the audit of the financial statements section of our report. We are independent of the charilable company in accordance with the ethical requiremenls thal are relevant lo our audit of the financial slatemenls in the UK, including the FRC'S Ethical Standard. and we have fulfilled our other ethical responsibilities in accordan with these requirements. We believe that the audit evidence we have obtained is sufficienl and appropriate to provide a basis for our opinion. Concluslons relatlng to golng concern Ir) auditing the financial slalements, we have concluded that the trustees, use of the going concem basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have perfomied, we have not identified any material uncerlainlies relating to events or conditions that, individually or collectively, may cast significant doubl on the charitable company's ability lo ¢onlinue as a going concern for a period of al least twelve months from when Ihe financial slatements are authorised for issue. Our responsibilities and the responsibilities of the Irustees with respecl to going concem are described in Ihe relevant sections of this report. Other Informatlon The Iruslees are responsible for the other information. The other information comprises the information included in the trustees, annual report, other than the financial slalemenls and our audilorfs report Ihereon. Our opinion on the finan¢ial Stalemenls does not cover the olher information and. except lo the extenl otherwise explicitly slated in our report, we do not express any form of assurance conclusion Ihereon. In conne¢lion with our audit of the financial stalements. our responsibility is to read the other infomalion and, in doing so, consider whether the other information is materially inconsislenl with the financial statements or our knowledge obtained in the audit or otheiSe appeals to be materially misslaled. If we identify such material inconsistencies or apparent material mi551alemenls, we are required lo determine whether there is a material misslatement in Ihe financial stalemenl8 or a material misstatement of the other information. If. based on the work we have performed. we conclude that Iheie is a material misslalemenl of this other information, we are required to report th81 fact. We have nothing to report in this regard. Opinions on othor matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the trustees, report (incorporating the directors. report) forthe financial year forwhich the financial statements are prepared is consistent wilh the financial statements.. and thè directors, report has been prepared in accordance wilh applicable leg81 requirements. Matters on which we are required to report by exception In the lighl of our knowledge and understanding of the charitable company and ils environment obtained in the course of the audil, we have not identified material misslatemenls in the direclors, report.
ORTHOPAEDIC INSTITUTE LTD INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE OR THOPAEDIC INSTITUTE L TD (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 We have nothing lo report in respect of the following rnatters in relation to which the Companies Act 2006 and the Charilies Act 2011 requires us to report to you if, in our opinion= adequate accounting records have nol been kepl. or retums adequate for our audil have not been received from branches not visited by us.. or the financial statemenls are not in agreement with the accounting records and returns-, or certain disclosures of directors. remuneration specified by law are not made; or we have not received all the information and explanations we require for our audil., or the trustees were not enlilled to prepare the financial siatemenls in accordance with Ihe small companies, regime and lake advantage of the small companies, exemptions in pparIng the directors, report and from the requirement to prepare a strategic report. Responsibilities of trusteès As explained more fully in the Iruslees, responsibilities stalemenl set out on page 6, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that Ihey give a true and fair view. and for such internal control as the trustees determine is necessary to enable Ihe p¥eparalion of financial statements Ihal are free from material misslatemenl, whether due to fraud or error. In preparlng the financial slalements. the trustees are responsible for assessing the charitable companWs abilily to continue as a going concern, disclosing, as applicable, mallers related to going concern and using (he going concern basis of accounting unless the Irustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. Audltor'5 responsibilities for the audlt of the financial statements Our objectives are lo obtain reasonable assurance aboutwhelhei the financial stalemenls as a whole a free from material misslalemenl, whether due lo fraud or error. and to issue an auditor's report Ihal includes our opinion. Reasonable assurance is a high level of assurance, bul is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists. Misstalemenls can arise from fraud or error and are considered maleTial if, individually or in the aggregate. they could reasonably be expected to influence the economic decisions of us8rs taken on the basis of these financial slatements. A further description of our responsibilities for the audil of the financial ststemenls is located on the Financial Reporting Council's websile at.. www.fr¢.org.uklaudilorsresponsibilities. This descriplion fomis part of our auditor's report. Irregularilies, including fraud. are instances of non-compliance with laws and regulalions. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and Ihe extent lo which these are capable of delecting irregularities, including fraud is detailed below.. Enquiry of management and those ¢harged with governan around aclual and potential liligalion and claims., Enquiry of enlily staff in lax and compliance funclions to identify any instances of non-compliance with laws and regulations., Reviewing minutes of m881ings of those charged with governance., Reviewing financial slalemenl disclosures and testing to supporting (k)cumentation to assess compliance with applicable laws and regulations., Performing audit work over the risk of management override of controls. including testing of journal entries and other adjuslmenls for appropriateness. evaluating the business rationale of significant Iransaclions outside the normal course of business and reviewing accounting estimates for bias. Because of the inherent limitations of an audit, Ihere is a risk Ihal we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance wilh regulalion. This risk increases the more that compliance with a law or regulation is removed from the evenls and transactions reflected in Ihe financial slalements, as we will be less likely to become aware of instances of non-complian. The risk is also grealer regarding irregltlarities occurring due lo fraud Tather than error. as fraud involves intentional concealment, lorgery, collusion, omission or misrepresenlalion.
ORTHOPAEDIC INSTITUTE LTD INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE ORTHOPAEDIC INSTITUTE L TD (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Use of our report This report is made solely lo the charitable company s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so Ihat we might state lo the charitable company's members Ihose matlers we are required lo slate lo them in an auditoi's report and for no other purpose. To the fullest extent permilled by law. we do not accept or assurne responsibility to anyone other than the charitable company and the charilable company's members as a body. for our audit work, for this report. or for the opinions we have formed. Benjamin Hayes Bsc FCA Isenlor Statutory Auditor) For and on behalf of Wenn Townsend Chartered Accountants and Statutory Auditor 30 St Glles Oxford OX1 3LE 20 November 2024 Wenn Townsond is ellble to 8Ct as an 8uth.lor In lerms 01sedic 1212 of the Companies Act 2006
ORTHOPAEDIC INSTITUTE LTD STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITUREACCOUNT FOR THE YEAR ENDED 31 MARCH 2024 Unrestricted Designated funds funds Restricted funds Total 2024 2024 2024 2024 Notes Donations, legacies and grants Charitable activities Investments 53,514 114.170 54,570 74,727 128,241 114,170 54,570 Total Income 222,254 74,727 296,981 Raising funds Charitable activities 77,038 157,784 77,038 224,712 66,928 Total resources expenses 234,822 66,928 301,750 Nel gain on investments 11 102,818 102,818 Net in¢oming resourcgs before transfers 90.250 7,799 98,049 (117,036) 129,646 {12,6101 Gross transfers between funds Net {expendlture) I Income for the year: Net movement In funds (26,786) 129.646 (4.811) 98,049 Fund balances at 1 April 2023 32,334 2,100,884 1.202.953 3,336,171 Fund balancgs at 31 March 2024 5.548 2,230,530 1,198,142 3,434,220 The statement offinancial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The statement offinancial activities also complies with the requirements for an income and expenditure aGcount under the Companies Act 2006. 10-
ORTHOPAEDIC INSTITUTE LTD STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITUREACCOUNT FOR THE YEAR ENDED 31 MARCH 2024 Comparative statement of financial activities for the year ended 31 March 2023= Unrestrlcted Designated funds funds Restricted funds Total 2023 2023 2023 2023 Note5 Donations, legacies and grants Charitable activities Investments 14,270 96,714 49,489 108,063 122,333 96,714 49,489 Total Income 160,473 108,063 268,536 Raising funds Charitable activities 87,042 270,640 87,042 328,668 58,028 Total resources expenses 357,682 58,028 415,710 Net loss on investments 11 (109,151) (109,151) Not (outgolng) l incomlng resources before transfers (306,360) 50,035 (256,325) Gross transfers between funds Net lexpendlturel I Income for the year: Net movement in funds 271,242 (35.118) (271,242) (271,242) 50,035 {256,325) Fund balances at 1 April 2022 67,452 2,372,126 1,152,918 3,592.498 Fund balancos at 31 March 2023 32,334 2,100.884 1,202,953 3,336,171
ORTHOPAEDIC INSTITUTE LTD BALANCE SHEET AS A T 31 MARCH 2024 2024 2023 Note Flxed assets Tangible assets Inveslments 12 13 1.171.793 1,583,877 1,209,593 1,515,644 2,755,670 2,725,237 Current assets Debtors Cash at bank and in hand 16 10,944 741,179 3,112 708.720 752.123 711,832 Credltors: amounts falllng due withln one year 17 (73,573) (100.898) Net current assets 678.550 610,934 Total assets less current Ilabllities 3,434,220 3.336,171 Net assets 3,434,220 3,336,171 Income funds Restricted funds Unrestricted funds.. Designated funds Unrestricted funds 20 1,1g8,142 1,202,953 2.230,530 5.548 2,100.884 32,334 Total unrestricted funds 2,236,078 2,133,218 3.434,220 3,336,171 The financial statements were approved by the Trustees on2oNovember 2024. Mr E R Evans Chalrman and Trustee Company Registratlon No. 02992437 The notes on pages 13 to 30 form part of these flnancial statements 12-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 Accounting polS¢les Charlty informatlon orthopaedic Institute Ltd is a private charitable company limited by guarantee incorporated in England and Wales. The registered office is Arthritis Research Centre, RJAH Hospital, Oswestry, Shropshire, SY10 7AG. The registered number is 02992437. In the event ofthe charity being wound up. the liability in respect of the guarantee is limited to £1 per member. 1.1 Accounting Convention The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable In the UK and Republic of Ireland issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland {FRS 102), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice. The financlal statements are prepared in sterting, which is the functional currency ofth8 Charity. Monetary amounts in these financial statements are rounded to the nearest £. The accounts have been prepared under the historical cost convention, modified to include the revaluation of certain financial instruments at fairvalue. The principal accounting policies adopted are set out below. 1.2 Golng concern At the time of approving the financial statements. the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable futur8. Thus the Trustees continue to adopt the going concern basis of accounting in preparing the financial statements. The charity continues to adapt to meet the n8eds of its members, course attendees, and requirements of the NHS Trust. Steps have been taken to ensure there are appropriate business and strategic plans in place to manage the ongoing changes. The position is under constant review. 1.3 Charitable fund5 Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives. Designated funds Comprise unrestricted funds that have been set aside by the trustees for particular purposes. The aim and use of each designated fund is Sel out in the notes to Ihe financial statements. Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses ofthe restricted funds are set out in the notes to the financial statements. 1.4 Income recognlllon All incoming resources are included in the Statement of Financial Activities {SoFA) when the charity is legally entilled to the income after any perfoTmance conditions have been met, the amount can be measured reliably and it is probable that the income will be received. For donations to be recognised the charity will have been notified of the amounts and the settlement dale in writing. If there are conditions attached to the donation and this requires a level of performance before enlillement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the conlrol of the charity and it is probable that they will be fulfilled. 13-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Accountlng policles Icontinued) Income recognltion (Gontinued) No amount is included in the financial statements for volunteer time in line with the SORP. Further detail is given in the Trustees, Annual Report. For legacies, entitlement is the earlier of the charity being notified of an impending distribution or the legacy being received. Al this point income is recognised. On occasion legacies will be notified to the charity however it 15 not possible lo measure the amount expected to be distributed. On these occasions, the legacy is treated as a contingent asset and disclosed. Income from services provided includes income earned from fundraising events and related charitable activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order lo raise fun(Js and is recognised when entitlement has occurred. Inve5tmenl income is earned through holding assets for investment purposes such as shares. It includes dividends and inleresl. Investment income is included when the amount can be measured reliably. Interest Income is recognised using the effective interest method and dividend income 15 recognised as the charlty's right to receive paymenl is established. 1.6 Expenditure r8cognltlon All expendilure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties. it is probable that Ihe seltlement will be required and the amount of the obligation can be measLÈred r81iably. It is categorised under the following headings: Costs of raising funds includes of costs of fundraising and events, costs of runnlng courses and educational events and investment management fees; Expenditure on charitable activities includes research salaries and related expendilure, costs of promoting further education and training and depreciation of the leasehold premises., and Other expenditure represents those items not falling into the categories above. Irrecoverable VAT is charged as an expense against the acts'vity for which expendilure arose. Research proposals are appraised by the Research Panel and presented to the members for support. On approval, funds are allocated lo individual research projects and costs are spent as they arise over the course of the project. On completion any surplus is reallocated lo the relevant fund from which il was originally allocated,. any cost overrun musl return to the Research Panel for appraisal before approval by the members. Grants payable lo third parties are within the charitable objectives. Where unconditional grants are offered, this is accrued as soon as the recipient is notified of the grant, as this gives rise to a reasonable expectation that the recipienl will receive the grants. Where grants are conditional relating to performance then the grant is only accrued when any unfulfilled conditions are outside of the control of the charity. 1.6 Support Gosts allocation Support costs are those Ihat assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs. administralive payroll costs. They are incurred directly in support of expenditure on the objects ofthe charity. Vvhere support costs cannot be directly attributed to particular headings they have been allocated to cost of raising funds and expenditure on charitable activities on 8 basis consistent with use of the resources. Fund-raising costs are those incurred in seeking voluntary contributions and do not include the costs of disseminating information in support of the charitable activities. The analysis of these costs is included in note 8. 14-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Accounting policies (continued) 1.7 Tanglble fixed assets Tangible fixed assets are initially measured at cost and subsequently measured at cost orvalualion, net of depreciation and any impairment losses. Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life'.- Long leasehold Overthe period ofthe lease With the exception ofthe long leasehold property the Charity operates a policy of charging all expenditure on capital items to the Statement of Financial Activities in the year in which it 15 occurred. 1.8 Flxed asset Investments Listed investments are included in the Balance Sheet at market value. Unlisted investments are included al cost as an approxlmation of market value unless there is specific evidence to the contrary. 1.9 Impalrment of fixed assets At each reporting end date, the Charity reviews the carrying amounts of its tangible assels to determine whether there is any indicalion that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount oflhe asset is estimated in order to detefmine the extent of the impairment loss (if any), 1.10 stocks The Charity holds stock of specialist publications for use on courses held for external sales. At the year end it was not possible to measure the net realisable value of this stock with Certainty to permit its inclusion in the financial statements. This is largely due to the high volume of stock held which has an indeterminate useful life. 1.11 Cash and cash aqulvalents Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three monlhs or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities. 1,12 Financlal instruments The Charity has elected to apply the provisions of Section 11 'Basic Financial Instruments, and Section 12 'other Financial Instruments Issues, of FRS 102 to all of its financial instruments. Financial instruments are recognised in the Charity's balance sheetwhen the Charity becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial slaternents, when there is a legally enforceable right lo set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle Ihe liability simultaneously. Baslc flnancial assets Basic financial assets, which include debtors, loan notes and cash and bank balances. are initially measured at transaction price including transaction costs and are subsequently carri8d at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaGtion is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. 15-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS {CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Accounting policies (contlnuedl Flnanclal instruments (continued) Basic flnan¢lal liabilities Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured al the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequently carried at amorlised cost, using the effective interest rate method. Trade creditors are obligations to pay for goods or services thal have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially al transaction price and subsequently measured at amortised cost using the effective interest method. Derecognltlon of financlal liabllltles Financial liabilities are derecognised when the Charity's contraclual obligations expire or are discharged or cancelled. 1.13 Employee beneflts The c05t of any unused holiday entitlement is recognised in the period in which the employee's services are received. Termination benefits are recognised immediately as an expense when the Charity is demonstrably commilled to terminate the employment of an employee or to provide termination benefits. 1.14 Retlrement beneflts Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due. 1.15 Taxatlon The Charity is exempt from corporation tax on its charitable actsvities. 1.16 Debtors Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid. 1.17 Crodltors Creditors and provisions are recognised where the Charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised al their settlement amount. 16_
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Critical accountlng estimates and judgements In the application of the Charity's accounting policies, the Trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are reGognised in the period in which thè estimate is revised where the revision affects only that period. or in the period of the revision and future periods where the revision affects both current and future periods. Donatlons, legacles and grants Unrestrlcted Restricted funds funds Total Total 2024 2024 2024 2023 Donations and gifts Legacies 50.742 2,772 74,727 125,469 2,772 52,289 44 Grants 70,000 53.514 74,727 128,241 122,333 For the year ended 31 March 2023 14,270 108,063 122,333 17-
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ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Investments Unrestricted Funds 2024 Unrestricted funds 2023 Income from listed investments Loan note interest receivable Bank interest receivable 46,407 375 7,788 45,157 3,458 874 54,570 49,489 Ralsing funds 2024 2023 Fundraisin and ublicit Staging fundraising events and related costs staff costs 4,118 29,401 3,494 27,706 Fundralslng and publicity 33,519 31,200 Courses and educational events Course expenses Staff costs 12,199 26,801 25,995 25,438 Course costs 39,000 51,433 Inveslm nt mana ement 4,519 4,409 77,038 87,042 19-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 Charltable activltles 2024 2023 Depreciation and impairment Research and laboratory equipment Education, training and prizes Research salaries, fees and expenses Bad debt provision 37,800 50,149 4,977 112,876 1,849 37,800 96,296 13,861 162,734 207,651 310,691 Share of governance costs (see note 8) 17,061 17,977 224,712 328,668 Support costs Support costs Governance costs 2024 2023 Sub-contractor costs Printing, 51ationery and miscellaneous Auditors, remun&ration 6,205 4,988 5,868 6,205 4,988 5,868 6,420 5,604 5,700 Auditors, remuneration - prior year under provision 253 17,061 17,061 17,977 Analysed between Charitable activities 17,061 17,061 17.977 Governance costs includes payments to the auditors of £5,868 (2023- £5.700) for audit fees. -20-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS {CONTINUEDI FOR THE YEAR ENDED 31 MARCH 2024 Employees 2024 2023 The average monthly number of employees during the year was: Employment costs 2024 2023 Wages and salaries Social security costs Other pension casts 54,920 68 1,213 52,125 1,019 56,201 53,144 other employment services required by the Charity were supplied by employees of RJAH Orthopaedic Hospltal in respect of research, education and administration duties and invoiced to The I nstitute by the Hospital. A part-time book-keeper and part-time administrator are engaged by The Institute and are both self- employed. There were no employees whose annual remuneration was £60,000 or more. 10 Tru5tee8 None of the Trustees (or any persons connected with them) received any remuneration, benefits or expenses from the Charity during the year. 11 Net galns l (losses) on Investments Unrpstrlcted funds 2024 Unrestricted funds 2023 Realised gains 617 586 Unrealised gains l Uosses) 102,201 (109,7371 Net gains l {losses) on investments 102,818 1109,151 21-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 12 Tanglble fixed assets Long leasehold Cost At 1 April 2023 1,979,993 At 31 March 2024 1,979,993 Depreclation and Impalrment At 1 April 2023 Deprecialion charged in the year 770,400 37,800 At 31 March 2024 808,200 Carrylng amount At 31 March 2024 1.171,793 At 31 March 2023 1,209,593 The leasehold property is the Leopold Muller Arthritis Research Cenlre. This building was constructed on land held on a 60 year lease that started on 28th March 1995. No depreciation was charged during the first 8 years of the lease. The leasehold interest which now covers both Ihe land and the building is now being amortised so as to write off the cost of construction ofthe building over the remaining period of the lease. The RJAH Orthopaedic Hospital have undertaken to provide cover on the building equivalent to that normally provided by a comprehensive insurance policy. 13 Flxed asset Investments Listed Investments 511/0 Loan stock Total Cost or valuatlon At 1 April 2023 Disposals Loan note repayments Valuation changes 1,485.579 (4,520) 30.065 1,515,644 14,520) (30,065) 102,818 (30,065) 102,818 At 31 March 2024 1,583,877 1,583,877 Carrying amount At 31 March 2024 1.583,877 1,583.877 At 31 Mafch 2023 1,485,579 30,065 1,515,644 -22-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 13 Fixed assot investments (Continu9d) Flxed asset investments revalued Costs of listed investments held at 31 March 2024 £1,296,285 (2023- £1,300,188). 50/0 loan stock relates to loan notes to Ashfield 2018 Limited received on the sale of its shares in Arklow Engineering Limited. The loan stock has been fully repaid in the year ended 31 March 2024. 14 Analysis of Investments at market value 2024 2023 UK Equilies Unlisted Loan Stock 1,583,877 1,485,579 30,065 1,583,877 1,515,644 16 Flnancial Instruments 2024 2023 Carrylng amount of flnanclal assets Debt instruments measured at amortised cost Equity Instruments measured al cost less impairment 752,123 1,296,285 741,897 1,300,188 Carrying amount of flnanclal Ilablllties Measured at amortised cosl 40,912 62,850 Financial assets measured at amortised cost consists of trade debtors, other debtors, loan stock and cash at bank and in hand. Flnancial liabililies measured at amortised cost consists of trade creditors and accruals. In relation to Ihe equity instruments measured at fair value, income of £46,407 {2023 - £45,157) has been recognised in the year. The fair value adjustment for the year was a gain of £102,818 (2023 - a loss of £109,151). 16 Debtors 2024 2023 ATnounts falling due withln one year: Trade debtors 10,944 3,112 10,944 3,112 -23-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 17 Credltors: amounts falling due wlthin ono yoar 2024 2023 Other taxalion and social security Trade creditors Other creditors Deferred income Accruals 762 7.905 227 31,672 33,007 673 22,246 84 37,291 40,604 73,573 100,898 18 Deferred Income Deferred income represents course fees paid during the year which relate to courses held in the following year. The amount deferred al the year-end will be released in the year ended 31 March 2025 as relevant courses are provided to the delegates and the fundraising events take place. 2024 2023 Deferred Income as 1 April 37,291 13,553 Amounts released in the year Additions during the year {23,933) 18,314 (195) 23,933 Deferred income at 31 March 31,672 37,291 Bld deferred income remaining 13,358 13,358 19 Retlrement benefit schemes Defined contribution schemes The Charity operates a defined contribution pension scheme for all qualifying employees. The assets ofthe scheme are held separately from those of the Charity in an independently administered fund. The charge to profit or loss in respect ofdefined contribution schemes was £1.213 {2023- £1,019). 24-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 20 Movamont In funds The income funds ofthe charily include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes.. 2024 Balance at 1 Aprll 2023 Incomlng resources Resources expended Transfers Gains and Balanco al 31 Ilossesl March 2024 Unrestricted funds Unrestricted Designated 32,334 2.100.884 222.254 (234,822) (117,036) 129,646 102,818 5,548 2,230,530 2,133,218 222,254 (234,822) 12.610 102.818 2,236,078 Restricted 1,202.953 74,727 (66,928) {12,610) 1,198,142 3,336,171 296,981 (301,750) 102.818 3,434,220 A detailed analysis of the movement in funds is given in note 22. 2023 Balance at 1 Aprll 2022 Incomlng rosourGe$ Resources èxpended Transfers Galns and Balance at 31 Ilossesl March 2023 Unrestrlcted funds Unrestricted Designated 67,452 2,372,126 160,473 (357,682) 271,242 {109.151) {271,242) 32,334 2,100,884 2,439,578 160,473 (357,682) (109,151) 2,133,218 Restricted 1,152,918 108,063 (58,028) 1,202,953 3,592.496 268,536 (415,710) (109,151} 3,336,171 -25-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 21 Analysis of nat assets between funds Unrestricted Dgsignated funds funds 2024 2024 Restrlcted funds 2024 Total 2024 Fund balances at 31 March 2024 are represented by.. Tangible assets Investments Current asselsl(liabilities) 432,008 1,583,877 214,645 739,785 1,171,793 1,583.877 678,550 5,548 458,357 5.548 2,230,530 1,198,142 3,434,220 Unrestricted Deslgnated Rostrlcted funds funds fund5 2023 2023 2023 Total 2023 Fund balances at 31 March 2023 are represented by.. Tangible assets Investments Current assetsl(liabilities) 445,945 1,515,644 139,295 763,648 1,209,593 1,515,644 610,934 32,334 439,305 32,334 2,100,884 1,202,953 3,336,171 -26-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 22 Analysis of funds Total fund balance to 01104123 32,334 Total fund balance to 31103124 5,548 Costs {80.871) {12.199) Income Transfers (18.327) {42,264) (17,JOO) (62,330) {30Q) (33,000) General purposes Course {Expllncfr) Population Orthopaedics fund Regenerative Orthopaedic5 fund Anatomy fund (Incorporating Henry Freede fund) Arthroplasly fund Arthroplasly fund - restricted Research fund (fony Smith) Research fund ff ony Smith) - reslricled RJP Upper Limb fund CIND fund CIND fund - reslricled ENT Course fund ENT Course fund - restficled Foot & Ankle research fund Hand surgery res & Irg fund Hislopalhology research fund Upper Limb (Hand & Wrist) fund Limb reconslruclion fund Fund Generation fund (previously London Marathon) Fund Generation fund - restricted Medical photography Micro surgery fund Muscular dystrophy fund OSCAR fund Oncology fund Ortholic research fund Oscell fund Paedialrics fund Paedialrics fund - reslricled Club Foot fund Club Fool fund - restricted Pharmacy fund Publishing fund Radiology fund Radiography fund Regislrar5 day fund Research fund {Arthrilis & Rheumatology) Research fund (Generall Research fund (General} - restricted Charle5 Sall research fund Radiology Research fund Radiology Research fund - reslricled Spinal injuries (und Spinal injuries fund - reslricled Spinal injuries staff fund 72,412 54,463 73.398 67,863 44,061 247,365 41.108 2,310 147 13.610 64,767 4,126 14.885 4.441 87,675 11,307 254 5,821 37.943 7,839 3,426 7.608 4,987 6,083 3.554 40.446 7,941 7,827 3.294 3.772 696 1.148 363 $0,777 88,137 943 24,953 4.485 317,459 338,133 34,911 131 110 81,101 3,608 4,283 56,398 10,062 46,234 213,970 41,108 2,310 147 13,610 52,677 4,126 14.885 4,441 81,753 11,307 254 5,821 38,123 8,761 3,426 7.608 4,987 5,495 3,554 24,190 13,322 7,827 3,294 3,772 696 1,148 363 50,023 79,837 943 22,288 200 512.813 357,185 15,359 131 110 71.271 3,608 3,693 4,529 2,473 (2,960) 2,565 {416) 48,059 (59,733) (5.922) 180 1,372 (450) (588) (17,718) 462 1,000 5,381 31,096 (31,096) (3,042) 831 1,457 (8,300) (5.465) 2,800 200 8,243 74.727 14,750 {4,4851 251,028 (12,610) (34.302) (63,917) (43,065) (9.830) (590) clf 1.801,430 (259,904) 285,593 {18.441} 1,808,678 -27-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 22 Analysis of funds {continued) Total fund balance to 01104123 Total fund balance to 31103124 Costs Income Transfers blf 1,801,430 (259,904) 285.593 118.441) 1,808,678 Spinal studies cenlre Spinal studies centre - restricted Spinal studies research projects Spinal studies research projects - reslricled Sports injuiy research fund WG Davies prize WG Davies prize - restricted Division of nursing studies J Rowland Hughes prize Dr W M Path memorial fund Dr W M Park memorial fund- reslricled Anesthelisl's fund Rheumatology Educational fund Rheumatology Educational fund - reslricled GP Study Day fund Veterans Centre fund Veterans Centre fund - restricted Dr B Tins Fund Dr B Tins Fund - restricted SAS Doctors Conference fund Bioinformglics lund THREAD fund 47.130 11,041 7,775 7.725 33.409 2,588 3.645 4,030 96 2,393 209 5.632 7,269 3.264 15.789 13,587 1,813 4.172 11,589 3,540 3,190 500 13,251 60,881 11,041 7,775 7,725 35,700 2.588 3,645 4,030 96 2,393 209 5,632 10,028 3,264 15,789 19,827 1,813 4,172 11,589 3,540 3,190 1,359 (1.540) 3,831 (2.506) 5.265 6,240 1,359 Sub-total 1,991,316 (263,950) 297,598 2,024,964 LMA Research centre LMA Research cenlre - restricted Unrealised gains 445,945 763,648 135,262 (13,937) (23.863) 432,008 739,785 237,463 102,201 Total 3,336.171 (301,750) 399,799 3,434,220 Summa Restricted Designated Unrestricted 1.202,953 2.100,884 32.334 (66.928) 74,727 (12,610) 1,198,142 129.646 2,230,530 (117,036> 5,548 1234.822) 325,072 Total 3,336.171 (301,750) 399.799 3,434,220 -28-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 22 Analysis of funds (Contlnued) or funds wlth balances reaterthan £25 000 Anatomy Fund Incorporatlng the Henry Freede Anatomy Fund Finances teaching and research work under the discretion of Dr D.C.Jaffray. Arthroplasty Fund For research and training by Arthroplasty Unit. Charles Salt Research Fund Used for various projects including 'Osteoporosis in Men, research. Centre for Inherlted Neuromuscular Disease (CIND) Fund Fund is for finding new trealmenls for inherited neuromuscular disease. Foot & Ankle Research Fund This funds research and training activities into feet and ankles. Llmb Reconstructlon Fund Used for research by Mr A Bing into limb reconstruction. L.M.A.R.C This fund represents the monies given lo build the Leopold Muller Arthritis Research Cenlre which houses the work of the charity. The rnain source of funds was a bequest of £1.25 million from the Leopold Muller Foundation. The orthopaedic Institute Ltd holds this building on a 60 year lease that commenced on 28th March 1995. Oncology Fund This funds research Into cancers. PopulatSon Orthopaedlcs Fund The Population Orthopaedics Fund will support the new Professor. Regenerative Orthopaedlcs Fund This fund is for the charity's academic professorial successor to seek fund selected research projectsbefore external funding is sought. Publlshing Fund This fund is for the publishing of books for courses under the jurisdiction of Dr V Pullicino. Radlology Fund This fund is used for Radiologists, education. Iraining and research. Research Fund (General) Funds various research projects approved by the Institute's Research Panel. Spinal Injurles Fund Funds research into management of spinal injuries. Splnal Studles Centre Funds held for use in the Spinal Injuries Cenlre. Sport Injurles Rosearch Funds raised for the support of research into Sports Injuries. -29-
ORTHOPAEDIC INSTITUTE LTD NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2024 22 Analysls of funds (Continuèd) Materlal Transfers The reasons for material transfers between different classes of funds are set out below. General fund - allocation of interest and dividends across funds and transfer to general designated fund following designation to research and training. Course fund - allocation of course profits to funds. Research fund (general) - funds allocated for specific research projects. Arthroplasty fund I ChaTles Salt research fund I CIND fund l Oscell fund - transfers allocated to support specific research projects. Unrestrlcted Funds Included in unreslricted funds are designated funds, durin9 the year transfers are made between these designated funds at Ihe Trustees, discretion. 23 Flnancial commltments, guarantees and contingent Ilabilities The Trustees have approved on-going research commilmenls over the next two years totalling £641,362 {2023- £478,591). This represents the allocation of funds to research projects to be spent by the Charity as costs arise over the course of the research. 24 Related party transactlons Remuneratlon of key management personnel Key management personnel are the Trustees. No remuneration is paid to key management personnel. Donations received from the Trustees during the year totalled £4,529. Transactlons wlth related partles During the year the Charity entered into the following transactions with related partie5'. The Char11y operates within the environs of the RJAH Orthopaedic Hospital. Dueto this a significant number of transactions are undertaken between the two entities, the transactions are within the normal activities of the Charity and are conducted on an arm's length basis. The staff undertaking research projects, teaching and administration are engaged by the NHS Trust. Their salary costs are recharged by the RJAH Orthopaedic Hospital to the Charity on a monthly basis. During the yearthe Charity made purchases of £50,107 (2023.. £145,898) from RJAH Orthopaedic Hospital for goods and services and contribution to shared project costs. At the year end £177 (2023.. £3,038) was owed to the RJAH Orthopaedic Hospital for goods and services. During the year the Charity made recharges of expenditure of £4.662 (2023.. £4,045) to RJAH Orthopaedic Hospital. No guarantees have been given or received. -30-